"We launched our new Blackjack Pro product during the first quarter with
initial installations going live in February and March. Player reaction
and product performance has been positive, and we are excited about the
opportunity to drive additional growth as we expand our electronic table
games offering."

Financial Summary

Total revenue for the first quarter of 2011 was $1.7 million compared to
$1.6 million for the first quarter of 2010. Revenues increased primarily
due to a higher number of revenue producing PokerPro tables in our
target markets, particularly in Mexico and Europe, partially offset by
reductions in revenue from Canada.

Gross profit increased 28.2% to $1.2 million for the first quarter of
2011 as compared to $0.9 million for the first quarter of 2010. Gross
profit margin increased to 72% compared to 60% for the prior-year
period. The increase in gross profit was primarily attributable to
increased revenues, improved asset utilization and reduced product costs.

Operating expenses were $1.6 million for the first quarter of 2011
compared to $1.7 million for the prior-year period. We continue to focus
on controlling spending and maintaining a lean operating structure as we
invest in new product development and increase our market penetration.

Net loss from continuing operations for the first quarter of 2011
improved 43% to $0.4 million ($0.07 per share) from $0.8 million ($0.14
per share) for comparable periods in 2011 and 2010. Including the
results of discontinued operations, quarterly net loss improved 46% to
$0.5 million ($0.07 per share) from $0.9 million ($0.15 per share).

EBITDAS from continuing operations, a non-GAAP financial measure,
improved to a profit of $119 thousand for the first quarter for 2011,
compared to a profit of $102 thousand in the prior-year period.

Balance Sheet and Cash Flow Information

Cash provided by operating activities improved 144% from a use of cash
of $82 thousand in the prior-year quarter to positive cash from
operations of $36 thousand for the current period. The improvement in
operating cash flow is directly attributable to our improved
profitability combined with working capital controls.

A conference call and webcast will be held on Wednesday, May 4, 2011 at
2:30 p.m. EST for management to discuss the company's first-quarter 2011
performance. Interested parties may listen to and participate in the
conference call by dialing 866-203-3436 (U.S./Canada) or 617-213-8849
(Other) and entering passcode 34281370. A live webcast of the conference
call will be available through a link on our website, www.pokertek.com,
under the heading "Investors", as well as at www.earnings.com
and www.streetevents.com.
For those unable to participate in the live call, an archived replay
will be made available for one year on our website. A replay of the
conference call will also be available approximately two hours after the
conclusion of the call for approximately one week by dialing
888-286-8010 (U.S./Canada) or 617-801-6888 (Other) and entering passcode
31799044.

Use of Non-GAAP Measures

PokerTek, Inc. prepares its consolidated financial statements in
accordance with United States generally accepted accounting principles
("GAAP"). In addition to disclosing financial results prepared in
accordance with GAAP, the company discloses information regarding
EBITDAS, which differs from the term EBITDA as it is commonly used. In
addition to adjusting net income (loss) from continuing operations to
exclude taxes, interest, and depreciation and amortization, EBITDAS also
excludes noncash charges, certain non-recurring charges and share-based
compensation expense. EBITDA and EBITDAS are not measures of performance
defined in accordance with GAAP. However, EBITDAS is used internally in
planning and evaluating the company's operating performance.
Accordingly, management believes that disclosure of this metric offers
investors, bankers and other stakeholders an additional view of the
company's operations that, when coupled with the GAAP results, provides
a more complete understanding of the company's financial results.

EBITDAS should not be considered as an alternative to net loss or to net
cash used in operating activities as a measure of operating results or
of liquidity. It may not be comparable to similarly titled measures used
by other companies, and it excludes financial information that some may
consider important in evaluating the company's performance. A
reconciliation of GAAP net loss from continuing operations to EBITDAS is
included in the accompanying financial schedules.

About PokerTek, Inc.

PokerTek, Inc. (NASDAQ:PTEK) (www.pokertek.com)
is a licensed gaming company headquartered in Matthews, NC that develops
and distributes electronic table games solutions for the gaming
industry. The company's products are installed worldwide, and include
PokerPro and Blackjack Pro. For more information, visit: www.pokertek.com.

This press release contains forward-looking statements within the
meaning of Section 27A of the Securities Act of 1933, as amended, and
Section 21E of the Securities Exchange Act of 1934, as amended, which
are made in accordance with the Private Securities Litigation Reform Act
of 1995. The forward-looking statements herein include, but are not
limited to, the expected adoption of our gaming systems by casinos and
other customers, and the expected acceptance of our gaming systems by
players. Our actual results may differ materially from those implied in
these forward-looking statements as a result of many factors, including,
but not limited to, the impact of global macroeconomic and credit
conditions on our business and the business of our suppliers and
customers, overall industry environment, customer acceptance of our
products, delay in the introduction of new products, further approvals
of regulatory authorities, adverse court rulings, production and/or
quality control problems, the denial, suspension or revocation of
permits or licenses by regulatory or governmental authorities,
termination or non-renewal of customer contracts, competitive pressures,
and our financial condition, including our ability to maintain
sufficient liquidity to operate our business. These and other risks and
uncertainties are described in more detail in our most recent annual
report on Form 10-K and other reports filed with the Securities and
Exchange Commission. Forward-looking statements speak only as of the
date they are made. We undertake no obligation to update or revise such
statements to reflect new circumstances or unanticipated events as they
occur, except as required by applicable laws, and you are urged to
review and consider disclosures that we make in the reports that we file
with the Securities and Exchange Commission that discuss other factors
germane to our business.

POKERTEK, INC.

CONSOLIDATED STATEMENTS OF OPERATIONS

(Unaudited)

Three-Months Ended

March 31,

2011

2010

Revenue

$

1,682,626

$

1,568,020

Cost of revenue

476,671

627,651

Gross profit

1,205,955

940,369

Operating expenses:

Selling, general and administrative

1,185,800

1,125,187

Research and development

264,760

285,180

Share-based compensation expense

157,951

221,579

Depreciation

20,281

39,332

Total operating expenses

1,628,792

1,671,278

Operating loss

(422,837

)

(730,909

)

Interest expense, net

26,650

32,555

Net loss from continuing operations before income taxes

(449,487

)

(763,464

)

Income tax provision

4,538

28,741

Net loss from continuing operations

(454,025

)

(792,205

)

Loss from discontinued operations

(9,974

)

(64,388

)

Net loss

$

(463,999

)

$

(856,593

)

Net loss from continuing operations per common share - basic and
diluted

$

(0.07

)

$

(0.14

)

Net loss from discontinued operations per common share - basic and
diluted

-

(0.01

)

Net loss per common share - basic and diluted

$

(0.07

)

$

(0.15

)

Weighted average common shares outstanding

6,210,883

5,628,059

POKERTEK, INC.

CONSOLIDATED BALANCE SHEETS

March 31, 2011(Unaudited)

December 31,2010

Assets

Current assets:

Cash and cash equivalents

$

814,125

$

666,179

Accounts receivable, net

1,209,414

1,057,511

Inventory

1,041,134

997,064

Prepaid expenses and other assets

194,964

213,495

Net assets of discontinued operations

334,420

379,441

Total current assets

3,594,057

3,313,690

Long-term assets:

Gaming systems, net

2,049,834

2,255,030

Property and equipment, net

62,508

80,755

Other assets

337,034

402,498

Total long-term assets

2,449,376

2,738,283

Total assets

$

6,043,433

$

6,051,973

Liabilities and Shareholders' Equity

Current liabilities:

Accounts payable

$

389,579

$

327,662

Accrued liabilities

707,797

648,604

Deferred revenue

1,030,590

817,789

Long-term liability - related party, current portion

44,905

21,402

Long-term debt, current portion

817,343

30,793

Current liabilities of discontinued operations

95,516

113,185

Total current liabilities

3,085,730

1,959,435

Long-term liabilities:

Deferred revenue

32,833

118,436

Long-term liability - related party

323,693

368,598

Long-term debt

-

800,000

Total long-term liabilities

356,526

1,287,034

Total liabilities

3,442,256

3,246,469

Commitments and contingencies

Shareholders' equity

Preferred stock, no par value per share;

-

-

authorized 5,000,000 none issued and

outstanding

Common stock, no par value per share; authorized 40,000,000

-

-

shares, issued and outstanding 6,284,117 and 6,187,853 shares at

March 31, 2011 and December 31, 2010, respectively

Additional paid-in capital

47,087,294

46,827,622

Accumulated deficit

(44,486,117

)

(44,022,118

)

Total shareholders' equity

2,601,177

2,805,504

Total liabilities and shareholders' equity

$

6,043,433

$

6,051,973

POKERTEK, INC.

CONSOLIDATED STATEMENTS OF CASH FLOWS

(Unaudited)

Three-Months Ended

March 31,

2011

2010

Cash flows from operating activities:

Net loss

$

(463,999

)

$

(856,593

)

Net loss from discontinued operations

9,974

64,388

Adjustments to reconcile net loss to net cash used in operating
activities:

(1) EBITDAS is defined as net loss from continuing operations
before interest, taxes, depreciation, amortization, share-based
compensation, and non-cash charges. EBITDAS does not purport to
represent net earnings or net cash used in operating activities, as
those terms are defined under generally accepted accounting
principles, and should not be considered as an alternative to such
measurements or as indicators of the Company's performance. The
Company's definition of EBITDAS may not be comparable with similarly
titled measures used by other companies.